US demand to rise 5.9% annually through 2016
US demand for post-consumer recycled plastics is forecast to rise 5.9 percent
per year to 3.4 billion pounds in 2016. Gains will be driven by a number of
factors, including a growing emphasis on sustainability among packaging and
consumer product manufacturers, advancements in processing and sorting
technologies allowing a wider variety of plastic to be recycled, and an improved
collection infrastructure that raises the plastic recycling rate. Continued
support by federal, state, and local governments for recycling efforts will also
provide a significant boost to recycled plastic collection, processing, and
demand.

However, the overall rate of plastic recycling in the US will remain relatively
low -- 6.5 percent of total plastic demand in 2016 -- as the industry faces a
number of challenges. Recycling is minimal in several major plastic markets,
including construction products, motor vehicles (other than batteries), and
packaging film, due to a lack of collection capability or economical processing.
Export sales (particularly to China) siphon off a substantial portion of plastic
scrap, and much of what is processed domestically has high levels of
contamination. As a result, only 53 percent of the plastic collected for
recycling makes its way to manufactured products in the US market.

Collection of rigid plastic and film on the rise
Bottles will remain the leading source of plastic for recycling, accounting for
about half of all plastic collected in 2016. The well established collection
infrastructure, including deposit laws in several states, makes bottles one of
the most widely recycled plastic products. More rapid gains, however, are
forecast for other sources, particularly rigid plastics, film, and carpet. The
recycling industry has put significant efforts into increasing the collection of
rigid plastic, including thermoformed packaging and bulk containers,
particularly at the commercial level. Bag and film recycling will also be
bolstered by private industry collection initiatives, as these are a key source
of raw materials for plastic bag and woodplastic composite producers.

LDPE to be fastest growing recycled resin
Polyethylene terephthalate (PET) and high density polyethylene (HDPE) were the
two leading resins used in recycled plastic products in 2011, accounting for
over 70 percent of demand. While PET will see above average gains in demand,
fueled by rising recycled content in beverage bottles and thermoformed
containers, subpar increases in HDPE collection will limit demand for recycled
resin. The most rapid growth is forecast for low density polyethylene, which
will benefit from a rebound in the construction market, as well as smaller
volume resins such as polypropylene and nylon.

Packaging to remain largest recycled plastics market
Packaging will continue to be the leading market for recycled plastic in 2016,
with strongest gains expected for food and beverage bottles and clamshell
containers, fueled by rising production of recycled resins suitable for food
contact uses. A rebound in US construction activity will drive strong demand for
recycled plastics in construction product markets, particularly lumber and pipe
applications. While advances in the motor vehicle market will be limited by the
highly mature battery segment, use of recycled plastic in fabrics and other
vehicle interior applications will increase at a robust pace.

The North American market for rigid transparent plastics reached nearly $4.0
billion in 2014 and is expected to reach $4.1 billion in 2015. This market is
expected to grow at a compound annual growth rate (CAGR) of 3.5% to nearly $4.9
billion f...

$ 2,600.00

China's demand for Engineered Plastics has grown at a fast pace in the past
decade. In the next decade, both production and demand will continue to grow.
The Chinese economy maintains a high speed growth which has been stimulated by
the consecutiv...

$ 4,000.00

China's demand for Plastics has grown at a fast pace in the past decade. In
the next decade, both production and demand will continue to grow. The Chinese
economy maintains a high speed growth which has been stimulated by the
consecutive increases...